According to reports from ET Now, Devyani International shares were trading at ₹114.70 as of 9:29 AM on Monday, down 2.92% from the previous close. The quick service restaurant operator, which operates KFC and Pizza Hut outlets, continues to face market pressure despite positive analyst sentiment following its Q4 FY26 results. The stock's decline comes as investors digest the company's latest financial performance and outlook.
As reported by ET Now, Devyani International reported a narrowing of consolidated net loss at ₹9.84 crore in the fourth quarter ended March 31, 2026. This compares to a consolidated net loss of ₹16.76 crore in the corresponding quarter of the previous fiscal year. The company's consolidated revenue from operations reached ₹1,436.86 crore in Q4 FY26, up from ₹1,212.59 crore in the same period last year. These results show significant improvement in the company's financial performance during the quarter.
According to ET Now, multiple brokerage firms have maintained bullish stances on Devyani International following its Q4 FY26 results. Nuvama maintains a Buy rating with a target price of ₹156, while Emkay has a target price of ₹160 with upside potential of 35.6%. Motilal Oswal also maintains a Buy rating with a target price of ₹165, citing topline growth acceleration and operational improvements. Goldman Sachs has raised its target price to ₹142 from ₹130, reflecting confidence in the company's operational turnaround strategy.
As reported by ET Now, KFC's same-store sales growth (SSSG) grew 4.9% year-on-year in Q4 FY26, with value meals launched at ₹99 aiding customer acquisition. The company's KFC store EBITDA rose 20% year-on-year in Q4, while dine-in led recovery supports better margin performance. Pizza Hut continues to focus on operational discipline, with the company expecting merger with Sapphire by March 2027. The company has also strengthened its leadership team with new hires for COO, CTO and CMO positions.
According to ET Now, analysts note that potential inflation-led demand volatility remains a key monitorable factor for the company. The brokerages have cut FY26/27E revenue estimates by 0.6%/1.9% and EBITDA estimates by 9.4%/9.0% respectively. Motilal Oswal expects KFC to lead store addition in FY27, while Pizza Hut expansion will remain curtailed. The company's strategic recalibration is expected to aid KFC's same-store sales growth, supporting the positive analyst sentiment despite current market pressure.
